A new fintech is changing the face of financial services in Australia, allowing customers more choice, transparency and security to move funds easily. Cashwerkz is an online platform based out of Sydney, with an innovative, start of the art design for cash investing. We spoke with newly appointed CEO, John Lechte, on the future of the business and how the industry is adapting to meeting the growing needs of investors.
Jon Lechte was appointed as CEO of Cashwerkz in March of 2020 to lead the growth trajectory as cash and fixed interest products became some of the most in-demand asset classes in the current climate. The platform does not receive, handle or direct investors’ money: it facilitates the transfer of cash parcels between accounts held and controlled by the investor, their appointed adviser or custodian, via automated instructions to relevant parties.
“Unsurprisingly investors, companies, advisers and financiers are feeling a sense of uncertainty at the moment,” said Mr Lechte.
“COVID-19 has simply exacerbated existing Geopolitical tensions and instability that has had investors worried, and thus informed their decisions, across most corners of the globe.
“Geopolitical drivers have played a huge role in investor sentiment, particularly shaping a flight to cash and liquidity as investors look for less risk, and more stability. But, as more and more investors look towards cash, while we are in the most uncertain time, there’s a big problem.
“Competition is more important than ever. With the cash rate dropping to a historic low and ongoing uncertainty in global equity markets, competitive rates can make a crucial difference to a savings or retirement strategy,” said Mr Lechte.
Mr Lechte points out that this is particularly important for retirees facing a sustained low-interest-rate environment.
“COVID-19 has had a very tangible effect on the way we currently invest, and Cashwerkz endeavours to find best interest for its users,” said Mr Lechte.
“We want to help Australians earn more interest on their cash investments by providing an easy and secure platform to invest online. Our focus is term deposits and at-call accounts and our cash management platform simplifies the process of choosing your preferred investment option, comparing rates, investing and switching between banks to manage your cash investments,” said Mr Lechte.
“It solves a problem whereby you’re able to have visibility across the market and can easily and readily pick your investments.”
Ann-Maree Robertson and Gavin Ruddell in the Nexia Brisbane office have been vital in advising the business on how to increase the value of its offering to customers, helping them identify the best cash management options to use and to streamline the service offering.
Mr Lechte understands the importance of the long-standing relationship with Nexia and is excited for the coming months to work closely with.
“Cashwerkz will be entering a growth stage by extending the offering to Bonds and other fixed interest products, this means we are going to need experienced accountants to audit and report to our shareholders, we are extremely happy with the support Nexia have committed to our team,” said Mr Lechte.
“Nexia’s advice on global markets has been important in helping the business tailor our offering for advisory firms and brokers in particular,” said Mr Lechte.
Cash investments up to $250,000 are guaranteed by the Government’s Financial Claims Scheme, and Cashwerkz never touches investor’s money – delivering an added privacy and security benefit.
Cashwerkz are continuing to set their sights on innovating the cash investing space for advisers and their clients, with Chief Technical Officer Peter Whitfield and an in-house team of developers working on exciting new projects.
“We are taking our platform to a place where we can support a wide range of market segments, all of whom have different needs. From small advisory firms that need more technology support to larger advisory firms with more complex structures and process requirements – our goal is to be the right fit for advisory firms and networks of any size,” he said.
Jon Lecte
CEO
Cashwerkz
